G7 pledges to counter ‘threats to economy and national security’ posed by China

“This is why the sanctions announced this week are so serious.”

03:07

Xi welcomes his “old friend” Putin to Beijing and affirms the strength of Sino-Russian ties

Xi welcomes his “old friend” Putin to Beijing and affirms the strength of Sino-Russian ties

The U.S. Treasury on Thursday targeted the Moscow Stock Exchange, Russia’s main financial center, and widened the risk of secondary sanctions for any foreign financial institution doing business with Russia’s war economy.

G7 members also pledged Friday to end China’s allegedly unfair lending practices, under which the World Bank and other Western-led multilateral institutions pump money into developing countries and then see Beijing recover 100% of its loans from these same countries.

“China has faced cash withdrawals from low- and middle-income countries,” the official said. “There is a collective agreement to put an end to this form of parasitism.”

In its leaders’ statement, the group stressed that it welcomed “constructive and stable” relations with China, that it was not trying to undermine its development and that it recognized its important role in global trade .

They added, however, that “we will continue to take necessary and appropriate measures to protect our workers and businesses from unfair practices, to level the playing field and address persistent harms.”

“China is not providing weapons (to Russia), but the capacity to produce these weapons and the technology available to do so, so it is actually helping Russia,” US President Joe Biden said on Thursday after signing a bilateral security agreement with the Ukrainian president. Volodymyr Zelensky.

Beijing has been closely monitoring the West’s unified response to Russia’s invasion of Ukraine as well as Moscow’s efforts to thwart and circumvent sanctions, analysts said, as it considers any future measures aimed at to take Taiwan by force.

On other fronts, the G7, made up of Canada, France, Germany, Italy, Japan, the United Kingdom and the United States, also called on China to end its export control measures, particularly those relating to critical minerals, which could lead to a significant global supply chain. disruptions.

The group also called on China to “uphold its commitment to act responsibly in cyberspace”, expressed opposition to China’s militarization and “coercive and intimidating activities in the South China Sea” and reaffirmed that “there is no legal basis for China’s maritime expansion.” demands” in the region.

And on other fronts, the group urged Beijing to pressure Moscow to “end its military aggression and immediately, completely and unconditionally withdraw its troops from Ukraine,” adding that it remained concerned about the opaque and accelerated expansion of its nuclear arsenal by China.

The statement also expresses collective concern over human rights in China, including in Tibet, allegations of forced labor in Xinjiang, and “China’s repression of Hong Kong’s autonomy.”

The senior US official said G7 leaders agreed that China, under President Xi Jinping, appeared convinced that democracies were in structural decline, leading Beijing to “take tactical risks” to achieve its strategic ambition of economic and technological primacy.

“None of the leaders saw the trend as likely to change, as market-oriented reforms require a loss of control that leaders appear unwilling or unable to accept,” he said, adding that the Chinese model is based on national champions and the State. ethnically-owned businesses fueled by large government subsidies, non-tariff barriers, low labor standards and “sometimes outright theft”.

“This implies that G7 companies are engaging in unfair competition against the Chinese government,” compromising the G7’s supply chain resilience and national security, he added. “I think it’s just an acceptance of the competition we’re in.”

Another senior U.S. administration official at the National Security Council, speaking earlier Friday, said other G7 member countries should follow the lead of the United States and the European Union in denouncing and punishing Chinese overcapacity, alleged unfair trade practices and Beijing’s support for Russia.

02:29

China urged to help end war in Ukraine by President Volodymyr Zelensky at Shangri-La Dialogue

China urged to help end war in Ukraine by President Volodymyr Zelensky at Shangri-La Dialogue

“China is not providing weapons (to Russia), but the capacity to produce these weapons and the technology available to do so, so it is actually helping Russia,” US President Joe Biden said on Thursday after signing a bilateral security agreement with the Ukrainian president. Volodymyr Zelensky.